Exact Fill Rates for the (R, S) Inventory Control with Discrete Distributed Demands for the Backordering Case
The fill rate is usually computed by using the traditional approach, which calculates it as the complement of the quotient between the expected unfulfilled demand and the expected demand per replenishment cycle, instead of directly the expected fraction of fulfilled demand. Furthermore the available methods to estimate the fill rate apply only under specific demand conditions. This paper shows the research gap regarding the estimation procedures to compute the fill rate and suggests: (i) a new exact procedure to compute the traditional approximation for any discrete demand distribution; and (ii) a new method to compute the fill rate directly as the fraction of fulfilled demand for any discrete demand distribution. Simulation results show that the latter methods outperform the traditional approach, which underestimates the simulated fill rate, over different demand patterns. This paper focuses on the traditional periodic review, base stock system when backlogged demands are allowed.
Volume (Year): 16 (2012)
Issue (Month): 3 ()
|Contact details of provider:|| Postal: 6 ROMANA PLACE, 70167 - BUCHAREST|
Web page: http://revistaie.ase.ro/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- van der Heijden, Matthieu, 2000. "Near cost-optimal inventory control policies for divergent networks under fill rate constraints," International Journal of Production Economics, Elsevier, vol. 63(2), pages 161-179, January.
- Tempelmeier, Horst, 2007. "On the stochastic uncapacitated dynamic single-item lotsizing problem with service level constraints," European Journal of Operational Research, Elsevier, vol. 181(1), pages 184-194, August.
When requesting a correction, please mention this item's handle: RePEc:aes:infoec:v:16:y:2012:i:3:p:19-26. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Paul Pocatilu)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.